Tron (TRX) price drops 6% after surging on USSD stablecoin reserve boost
Despite starting the week on a 6.1% drop, Tron (TRX) has surged by 9.3% over the past week following the launch of its new stablecoin.
On Saturday, Tron DAO purchased more TRX tokens to support its new stablecoin.
Tron DAO reserve adds more TRX to support its new stablecoin
TRON DAO Reserve, which backs the new Tron stablecoin, USDD, noted that it has bought almost 504.6 million TRX tokens worth $38.99 million to support the new stablecoin as well as safeguard the entire crypto market and the blockchain industry.
To safeguard the overall blockchain industry and crypto market, TRON DAO Reserve have bought 504,600,250 #TRX at 0.07727 average price with 38,993,043 #USD.
— TRON DAO Reserve (@trondaoreserve) May 7, 2022
Besides, Tron had recently launched stablecoin USDD which exceeded the total circulating supply of $200 million in just 48 hours with the 24 hours trading volume rallying by 30%.
The 30% high yield of the token seems to be attracting more token adoption besides this is the highest yield to be offered by any stablecoin on the market.
TRON DAO Reserve noted the rapid adoption of the USDD and promised that in the next 10 days its network will approve 1 billion more tokens. However, the Reserve also noted that getting the allowance does not guarantee the issuance or the circulation of the token, which depends on the market demand.
#USDD is increasing at such a rapid rate that we have decided to authorize 1 more billion #USDD in the next ten days. Be aware that authorization doesn’t mean issuance or circulation, which depends on market demand.
— TRON DAO Reserve (@trondaoreserve) May 7, 2022
Tron’s performance over the last 7 days
Justin Sun, the founder of TRON, recent announcements and the launch of the USDD stablecoin have set the TRX token to a bullish momentum at a time when the crypto market was trading sideways.
TRX has rallied by 34.1% in the last 7 days with its 24 hours trading volume up by more than 20% (over $3.8billion).
According to a Whale Alert report, there have been multiple transactions where whales have moved the TRX tokens from Binance to various unknown wallets. Besides, over 96.4 million worth of TRX tokens has been moved with four different transactions recording over $14 million. The largest transaction has recorded over $15.4 million.
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